Exploration & Production

RAG EXPLORATION & PRODUCTION GMBH

Producing the high-tech raw material of the future 2 3

RAG EXPLORATION & PRODUCTION GMBH

RAG Exploration & Production GmbH (RAG E&P) produces valuable crude oil, making a major economic contribution that supports the long-term, local production and supply of this vital raw material.

The high-grade crude oil produced Our capacity for innovation, sustai- in Upper is marketed nable and future-proof solutions, exclusively in Austria, safeguarding and vision to be an industry trend- high-quality industrial processing in setter that not only spots business sectors where it is an indispensable opportunities at an early stage, but resource, embedded in a sustainable also exploits them have long made circular economy. the company successful, and an important partner for tomorrow’s LOCAL RAW MATERIAL renewable-led energy landscape. PRODUCTION RAG AUSTRIA AG RAG E&P has a wealth of experien- ce in domestic oil exploration and Fully owned by RAG Austria AG, production. Thanks to its techno- RAG E&P accounts for 7% of logical expertise and innovative Austria’s total oil output of 664,000 methods that have won it admirers tonnes (2018) – roughly equivalent abroad, RAG E&P’s operations are to the amount of this essential exceptionally efficient. Technologies raw material needed by industry and automation solutions developed in Upper Austria each year (around in-house play a key role in boosting 82,000 tonnes in 2018). efficiency and optimising oil production. This helps to maintain the commercial supply of domestic crude oil, cutting the country’s dependence on imports. We develop reuse strategies that support renewable energy generation, which forms a core element of our resource-efficient, sustainable approach. 4 5

OIL – A HIGH-TECH RAW MATERIAL MADE IN AUSTRIA

Highlighting and designing innovative solutions for the energy industry of the future: our subsurface engineering expertise, technological capabilities and innovative capacity have allowed us to develop sustainable energy mining approaches.

CRUDE OIL SUSTAINABLE CIRCULAR ECONOMY Crude oil plays a significant part in this. There is still no substitute for Crude oil should be used carefully valuable domestic oil – and this is for specific applications where it is unlikely to change any time soon. essential. The focus needs to be on Crude oil is the base material for recycling, not disposal. Recycling countless products and technologies high-value plastics reduces Austria’s that currently play a dominant role dependence on imports, protects in our everyday lives and will the environment and is a key continue to do so in future. Without element of a sustainable circular crude oil, key technologies that will economy. The addition of oil compo- shape tomorrow’s energy land- nents enables high-quality recycling, scape would be unimaginable. For and in turn – as far as possible – a instance, a wind turbine consists to sustainable, uninterrupted material a large extent from oil or petroche- cycle. mical products, and without suitable „SUSTAINABLE lubrication the blades would grind to MATERIAL MINING“ a halt. Depending on its size, a wind turbine requires several hundred “We always consider subsequent RAG E&P’s production of crude oil reflects its commitment to meeting its responsibilities as part of a sustainable energy sector in the future. The liters of high-quality lubricating oil in use for renewable energy as part order to keep turning. emphasis is on sustainable material mining: eco-friendly production of a In contrast to producing synthetic of every project.” valuable raw material – crude oil – integrated into a sophisticated circular , synthetic oil production economy. Efficient reuse of disused and depleted reservoirs for renewable is very complex and expensive. So or geothermal projects also forms part of RAG E&P’s sustaina- bility strategy. sustainability, efficiency and sparing In the near future, the biggest application are vital in the production source of demand for oil should and and use of crude oil. Local production will in all likelihood no longer be the “We see domestic oil production as ‘sustainable also makes a major contribution to transport sector, but industry. And boosting security of supply. oil will not be used primarily as an material mining: eco-friendly production of a valuable energy source – above all, its value raw material – crude oil – integrated into a sophisticated will lie in its role as an indispensable raw material in industrial manufac- circular economy.” turing and the medical sector, and as an integral part of high-quality, everyday products. 6 7

High-quality oil products in everyday life: indispensable and everywhere you look Building 1 Window- and doorframes Coverings for flat roofs Floor coverings Tubes Working Pipes Bathroom Sports & leisure Computer housings Cable sheathing Medications Reusable containers Seals Medical devices Ski USB-sticks Silicones Wound dressings Soccer balls Insulating material Cosmetics and hygiene products Bicycle helmets Vaseline Surfboards Soap Sport boats Shaving cream Chewing gum Toilet seats Laundry detergents Cleaning agents Desifectants Cleaning sponge

Garden Watering cans Buckets Cooking Plant protection products and fertiliser Coating for milk cartons Garden and camping furniture Yoghurt cups Garbage cans Bottle Caps Straws Tupperware Interior parts of dishwashers Barbecue lighter Candles Thermoboxes Building 2 Lacquers, Colours Adhesives Solvents Coatings Housings Control boxes Asphalt Plastic packaging Polystyrene packaging Textiles Foils Home textiles Vehicles Canisters Foam for upholstered furniture Tyres Containers and mattresses Bumper elements Coatings of steel tubes Carpets Vehicle tanks Mechanical engineering Safe work clothing Interior equipment for vehicles elements like screw conveyors, Living Rubber boots Car seats pump components, sliding TV housing Shoe soles Car fittings elements, gearwheels, Household appliances Glasses Battery housings slide bushes, rollers Couch Trousers Child seats Toys Tights, swimwear (nylon) Antifreeze Sportswear Vinyl records, DVDs, CDs 8 9

INDISPENSABLE AND EVERYWHERE YOU LOOK: SURROUNDED BY OIL

Virtually no other raw material has had such an impact on and paved the way for progress in our society as oil. Because it has such a huge range of appli- CLOTHING AND LEISURE MEDICINE, COSMETICS cations, it is an integral part of our daily lives. So many things are based on AND HYGIENE various oil products – even though it might not be obvious at first glance. From the latest leisurewear to protective clothing, oil is part of Pharmaceuticals and cosmetics are many of the clothes we wear. another important application for Sportswear, outdoor clothing, fleece base materials made from oil. These jumpers, leggings, waterproofs Crude oil plays a fundamental part TRAVEL AND materials are used to make ana- and rubberised fabrics are all made esthetics, dressings and plasters, in industrial manufacturing and is TRANSPORTATION using synthetic fibres. And the used in many different forms for disinfectants and soap, heart valves, list doesn’t end there – wetsuits processing and refining products. Oil-based products can be found in medical devices and tubes. Without for divers, shoe soles, breathable Crude oil contains at least 500 diffe- virtually all the parts that make up oil products, it would be impossible sneakers, hiking boots and safety rent compounds, mainly comprising a car – even if the vehicle itself is to make nail varnish and nail varnish vests also contain oil products. The carbon and hydrogen. This is what powered by gas or electricity. This remover, razors and shaving foam, same goes for sports equipment makes it so versatile. Oil is part of list is long: from tyres, lubricating lipstick and mascara, toothbrushes like cycle helmets and tyres, skis countless everyday products, and oil, paint and interior trim to foot and toothpaste, or shampoo and and surfboards, balls, tennis rackets around 90% of all chemical products mats, gaskets, bumpers and battery body lotion. Aspirin is just one of and nets. are oil-based, making it an essential casings. And electric cars are no numerous medications that contain part of modern living and work. different. The asphalt used to build oil products. the roads we drive on is also made FOOD AND HOUSEHOLD LIVING from oil. And without lubricants, PRODUCTS COMMUNICATION AND bicycles and trains wouldn’t move ENTERTAINMENT Anyone building a house depends an inch. Oil is too valuable to simply be on oil – it’s the base material for thrown away, so there has to be a Modern-day communications and window frames, floor coverings and greater emphasis on recycling and the entertainment sector also need RENEWABLE ENERGY wire insulation. Oil is used to produce reusing in food production, food oil. 40% of the components in a construction foams, paints, varnishes, packaging and households – and smartphone are oil-based. And oil is Renewables also require oil: photo- coatings, insulation and adhesives. that does not just mean plastic also found in televisions, computers, voltaic plants need oil products for Oil products can be found every­ containers. Adhesives, firelighters, keyboards, mousepads, games cables, plugs and wiring, while wind where, even in mattresses, door candles, housings for domestic consoles and chargers, and even turbines wouldn’t turn without oil. seals and toilet seats. What’s more, appliances such as vacuum in books, playing cards and board Wind turbines and their rotor blades it is essential for producing garden cleaners and mixers, internal parts games. are not only made of high-quality hoses, light switches, bins, switch for dishwashers, as well as buckets carbon fibers and thus also of crude boxes and wiring. and cleaning sponges all contain oil oil, but also need several hundred products, while standard detergents liters of high-quality lubricating oil to – in their conventional forms – could run smoothly. not be produced without oil. 10 11

A VALUABLE RESOURCE – OILING THE RESPONSIBLE, SAFE WHEELS OF AUSTRIAN INDUSTRY PRODUCTION

Environmentally friendly and efficient oil production that conserves resources, Responsible stewardship of the resources at our disposal, protecting ensuring secure raw material supplies over the long term and integrating these into the environment and the climate, and being a good neighbour are a sophisticated circular economy – in terms of RAG E&P’s sustainable production our core values. Our operations make an important contribution to approach, this is a responsibility and a challenge. the Austrian economy, as well as promoting sustainable local raw material production.

The oil fields in our production areas The quality of the crude produced HIGHEST STANDARDS “We are committed to in Upper Austria are small in inter- is exceptionally high, making it AND INNOVATIVE national terms, and sophisticated, easy to process. Depending on the TECHNOLOGY securing energy sup- innovative technology is required to fields they come from, our grades plies for the future – tap the reserves. The reservoir rock are either paraffin or asphaltic base We fulfil the highest safety stan- in which oil is usually found gene- crudes, with similar quality specifi- dards in order to ensure a safe wor- through sustainability, rally lies 1,000-2,500 metres below cations to Brent blend. Our crude oil king and living environment for all of environmental safe- ground. is marketed exclusively in Austria, our staff, as well as local residents supporting security of supply in the and municipalities. guards, careful use of EFFICIENT, LOCAL AND country. Use of the latest technology, out­ resources and good ENVIRONMENTALLY standing continuous training for our FRIENDLY team, and comprehensive servicing relations with local of our facilities ensure the highest residents.” The development and implemen- standards of quality, industrial safe- tation of efficient, resource-friendly ty and environmental protection. production methods have made On the basis of clear processes, REUSING RESERVOIRS RAG E&P an international trailblazer clearly defined guidelines and “We keep transport routes short, FOR RENEWABLE ENERGY in this area, and have enabled it to instructions, and efficient commu- continue developing existing fields protect the environment, enhance nication we go one step further, Our pore reservoirs are valuable with a view to safeguarding domes- setting ourselves a target of zero security of supply, generate added resources that will prove their tic production for years to come. accidents in all of our activities. worth over the long term. They Before it is transported, the oil pro- value for the country, safeguard Besides the health and safety preserved oil for millions of years duced is processed (in separators measures designed to protect our jobs, and minimise transportation in secure, environmentally friendly and tanks), and formation water and own workforce, we also integrate costs and emissions.” surroundings, and they will be used solids are removed. The natural gas contractors closely into our safety to store energy in the future, too. produced is mainly used to satisfy activities. The possibilities are almost end- RAG E&P’s own energy require- less: from green gas to hydrogen ments. The crude oil is collected in produced from renewable solar and tanks before it is shipped using , as well as geothermal environmentally friendly rail trans- use. With this in mind, all RAG E&P port for high-quality processing. projects consider the potential that Water separated from the oil is reservoirs have for subsequent returned to the reservoirs. use as renewable-energy storage facilities. Exploration & Production

Published by: RAG Exploration & Production GmbH Schwarzenbergplatz 16, 1015 Vienna, Austria

Pictures: Karin Lohberger Photography Last updated: December 2020